Indian households and government have together spent more per hospitalisation in private hospitals in comparison to public hospitals, says a recent study conducted by Indian Institute of Technology, Jodhpur.
According to the study, the average total spending per day of hostitalisation was found to be ₹6,788 for private hospital and ₹2,833 for public hospital respectively.
Taking into account the supply and demand sides spending between for-profit and public sources, the study accessed the combined spending by the households and the government per episode of hospitalisation. It also used two datasets -- household survey for data on hospital utilisation and claims raised under publicly funded health insurance (PFHI) schemes of public facilities.
"Overall, supply-side public spending contributed to 16 per cent of total spending, demand-side spending through PFHI to 16 per cent, cash incentives to 1 per cent and OOPE to 67 per cent. OOPE constituted 31 per cent of total spending per episode in public and 86 per cent in private hospitals" News18 quoted the report as saying.
Highlighting the need for the research, IIT Jodhpur's Assistant Professor Sr Alok Ranjan said, "Provisioning in inpatient care under public facilities is more cost effective compared to the private sector in India . Therefore, there is an urgent need to invest in public health facilities compared to purchasing it from the private sector."
This is considered as the first study in this field that has empircally presented a comprehensive picture of spending per episode of hospitalisation under public and private healthcare facilities in India.
Catch all the Business News , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
MoreLess